Almost always after a company suffers a sharp fall in it's share price following a disappointing ann, all the posters that were singing the praises before the ann, blame the traders for pushing the share price down. They are all in for the long term and want you to put your shares in the bottom draw and come back in one or more years time.
The goal of 99.99% of readers and posters on HC is to invest their money into stocks that will show an increase in price in both the short and long term. If you accept that the share price is going to suffer for a period of time, then obviously the best thing to do is to sell now and either put your money in the bank, or into another stock that you have some degree of confidence will generate short term growth.
After you sell out there's nothing to stop you keeping an eye on the stock and come back in when things start to move again. By taking your money out of the stock it can be earning interest in the bank or accumulating in another stock. So even if you have to come back in at a higher price you can afford to because you will have more money.
If you don't trust your ability to find other companies with good short term potential, then why should you trust your ability to predict that the stock that has just suffered a big fall will eventually come good and you should hold on for the long term.
My take on SBN, it will take 12 months b4 anything starts to happen, because that's about how long it will take for FDA approval. They basically admitted themselves that FDA approval was the most important item on their agenda by saying that all available resources would be put towards that goal. If China, Russia and Mexico were just as significant (or more so if you believe some posters on this forum) than FDA approval then why wouldn't they have been focusing on them and just let the FDA approval bubble away. For Christ's sake how long can negotiations with China and Russia be at advanced stages for. Have these fallen through and they haven't told us?
There's only two conclusion you can draw from recent events. Either the FDA approval was the only thing that could propel this company onto bigger and better things or that management are incompetent. I tend to believe the first but I could be convinced otherwise.
Now all the posters who were saying the FDA 510(k) approval was a no brainer and just a rubber stamp, want you to hang in there for the long term. They were wrong the first time so why trust them?
SBN Price at posting:
0.0¢ Sentiment: Sell Disclosure: Held
